27-06-2025
No matter where you go, age can have an impact on your ability to rent a car and the experience you have. So, how old do you have to be to rent a car in Iceland? The age to rent a car in Iceland is generally 20 years old, though the age can be as high as 25 to rent a larger SUV or 4x4. Most rental agencies also require you to have held your license for at least a year.
Failing to understand the car rental age requirements for Iceland can leave you disappointed when you arrive. However, it’s important to note that each rental company sets its own requirements. A minimum of 20 years old is the standard, but some companies may require you to be older to rent an SUV. Some also charge a fee for younger drivers, while others don’t.
The primary reason for the Iceland car rental age requirement is due to the hazards of driving in the country and the higher risk new drivers face. Statistically, younger drivers are more likely to get into an accident, which can increase insurance and repair costs. If you’re considering a car rental in Iceland, it’s important to be aware of these age restrictions, as the minimum age requirement gives Icelandic rental agencies a little reassurance.
Before you choose which type of vehicle to rent, you must know the minimum age requirement for each type. How old do you need to be to rent a car in Iceland? Here are the general requirements based on the most common vehicle types you may be considering.
For most economy and standard vehicles, you must be at least 20 years old to rent a vehicle. In addition to this age requirement, you must have held a valid full license for at least a year. Your rental agency will verify your age and license when you pick up your rental to ensure you meet the minimum requirements.
If you would like to rent an SUV, 4x4, or campervan for your Iceland trip, you will need to be a little older. Most rental agencies will require drivers for these vehicles to be between 23 and 25 years old, depending on the company and vehicle. These vehicles can be more challenging to drive, requiring a little more experience from the driver.
Some visitors are interested in renting luxury vehicles, specialty cars or motorhomes to drive through the highlands or enjoy a little more luxury for their vacation. In these situations, rental agencies will generally require you to be at least 25 years old due to the high risks and higher costs of renting and maintaining these vehicles.
Once you know the minimum age to rent a vehicle during your stay, you will need to be informed about any additional requirements you may face as a young driver. The most important thing is to be fully prepared to avoid surprises and ensure you can drive off in your rental car when you arrive rather than needing to scramble to make alternative plans.
Some rental companies will charge a young driver fee for anyone renting under the age of 25. This fee is meant to cover the additional risk often associated with young drivers who have less practical experience on the road. Ask your rental agency if this fee is charged daily or if it’s one fee for the duration of your rental.
Another common requirement when renting a vehicle in Iceland, especially if you are under 25 years old, is the need for a credit card on file. While some car rental companies will accept a debit card in some circumstances, most will require you to pay with a valid credit card and have it on file to pay for any fines, missed parking fees, or damages to the vehicle.
It’s worth noting that the type of credit card you use matters. In Iceland, MasterCard and Visa are the two most common types of cards accepted. Some companies will accept American Express, but not all of them. Discover is also generally not accepted. If you’re unsure about your credit card type, ask your rental company before booking.
The top question many visitors have is whether they need an International Driving Permit (IDP). The answer to this question depends on your license. If your country’s license is in English or Latin characters, you will not need an IDP. Visitors from EU/EEA countries, the US, Canada, Australia, and many Asian countries do not need an IDP.
However, if your license uses other characters, you should get an IDP prior to arriving in Iceland. If you are in doubt, ask your rental agency or apply for an IDP to stay on the safe side.
A majority of rental companies in Iceland will require drivers to be at least 20 years of age with a valid license for a minimum of one year. Are you curious how old you need to be to rent a car in Iceland from various countries? Here’s a comparison of some of the top companies:
| Car Rental Company | Minimum Age | Young Driver Fee |
|---|---|---|
| Cars Iceland |
20 for regular cars; 23-25 for SUVs |
Yes |
| Reykjavik Cars | 20 for 2WD; 23 for large SUV moderls | No |
| Iceland Cars | 20-21 for 2WDs; 23-25 for larger models | Yes |
Although you need to be a certain age and may face young driver fees when you rent a car in Iceland, that doesn’t mean you should choose another option. There are still ways to save money while enjoying the trip you’ve always imagined. These tips will help you choose the more appropriate rental car and keep your costs as low as possible.
The first step to reducing your costs as a young driver is to choose the most appropriate vehicle for your needs and journey. Most car rental companies won’t charge young driver fees as long as you rent an economy or standard car. As long as you aren’t planning to drive any F-roads and will primarily stick to the main paved roads, these vehicles will help you save money.
In addition to costing less to rent and reducing the potential for a young driver fee, economy and standard cars are more fuel efficient and aren’t as susceptible to being blown around by harsh winds.
After you choose the car that meets your needs and budget, the next important consideration is the insurance. Basic Collision Damage Waiver (CDW) insurance isn’t the only thing you should have in Iceland. Even though adding other insurance types can increase the cost of your rental, it can save you a lot of money in the long run.
If you want to reduce your deductible, for instance, Super CDW can be added instead. Some of the other types of coverage you should consider include gravel protection, sand and ash protection, and more. The higher your insurance package, the less likely you will need to pay for any costly damages when you return the vehicle.
Another fantastic way to save money on your car rental is to book further in advance. The earlier you book your vehicle, the more likely you will get a good rate. If you wait until shortly before your trip or even when you arrive, your costs are likely to be higher due to the demand and a reduced inventory of available cars.
Some car rental companies will offer incentives for booking early, giving you further discounts to reduce your costs.
Do you still have questions about renting a car in Iceland, especially as a young driver? Here are some of the most frequently asked questions younger visitors have when looking for car rentals before their trip.
No, there are no specific road restrictions based on the age of the driver. However, due to a lack of experience, it is best to avoid F-roads. These roads require a 4x4 and can be quite challenging. Remember, it’s strictly forbidden to drive off-road in Iceland so be sure you stick to the marked roads.
Yes, you can typically add another driver to the rental agreement for a fee as long as they also meet the minimum driving requirements. Adding another young driver may incur additional young driver fees, while adding an older driver will not negate your current young driver fees.
As a young driver, you may encounter driving conditions you aren’t used to yet. Icelandic weather changes quickly and can include icy roads, blowing snow, high winds, and fog. In the summer, be aware of sheep that may cross the road and one-lane bridges and tunnels. Always check road and weather conditions before traveling.
How old do you have to be to rent a car in Iceland? While the minimum age is 20, there are other nuances you should be aware of to help you keep your costs low and avoid any surprises when you arrive and pick up your rental car.